ESE Stock Analysis: ESCO Technologies | NYSE
Scientific & Technical Instruments | NYSE, USA | Market Cap: 8.252m USD | 12M Return: 72.3% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 84.2M
EPS Trend: 96.5%
Qual. Beats: 0
Rev. Trend: 91.8%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
ESCO Technologies Inc. (NYSE: ESE) is a St. Louis-based engineered products company that operates through three reporting segments serving aviation, naval, defense, and industrial customers. Its Aerospace & Defense segment produces specialty filtration products, electro-explosive devices for military ejection seats and missile systems, precision-machined components for landing gear and flight controls, elastomeric signature-reduction solutions for U.S. Navy vessels, and mission-critical power management equipment. This breadth reflects the segments role as a tier-one supplier to both commercial aerospace OEMs and U.S. military primes, a dual-customer model common in the defense industrial base.
The Utility Solutions Group focuses on diagnostic and decision-support tools for the renewable energy industry, primarily wind and solar generation. The RF Test & Measurement segment supplies RF energy measurement and control products, anechoic chambers, shielded rooms, absorptive materials, filters, antennas, and calibration services used in R&D, regulatory compliance, medical, and security applications. The company distributes its products through a mix of direct sales teams, manufacturers representatives, and third-party distributors. Founded in 1990, ESCO is classified within the GICS Industrials sector, specifically the Industrial Machinery & Supplies & Components sub-industry, and its diversified portfolio spans highly regulated, certification-driven end markets with long product qualification cycles.
- Navy defense spending growth lifts Aerospace and Defense segment orders
- Commercial aerospace recovery drives filtration and landing gear component demand
- Renewable energy expansion supports Utility Solutions Group testing revenue
| Net Income: 308.1m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA 1.93 > 1.0 |
| NWC/Revenue: 18.14% < 20% (prev 33.46%; Δ -15.32% < -1%) |
| CFO/TA 0.11 > 3% & CFO 258.9m > Net Income 308.1m |
| Net Debt (166.1m) to EBITDA (290.9m): 0.57 < 3 |
| Current Ratio: 1.45 > 1.5 & < 3 |
| Outstanding Shares: last quarter (25.9m) vs 12m ago 0.29% < -2% |
| Gross Margin: 41.88% > 18% (prev 41.25%; Δ 0.63% > 0.5%) |
| Asset Turnover: 59.13% > 50% (prev 55.75%; Δ 3.38% > 0%) |
| Interest Coverage Ratio: 10.38 > 6 (EBIT TTM 190.3m / Interest Expense TTM 18.3m) |
| A: 0.09 (Total Current Assets 726.8m - Total Current Liabilities 500.4m) / Total Assets 2.41b |
| B: 0.60 (Retained Earnings 1.43b / Total Assets 2.41b) |
| C: 0.09 (EBIT TTM 190.3m / Avg Total Assets 2.11b) |
| D: 1.93 (Book Value of Equity 1.59b / Total Liabilities 820.4m) |
| Altman-Z'' = 5.19 = AAA |
| DSRI: 0.85 (Receivables 360.4m/343.4m, Revenue 1.25b/1.01b) |
| GMI: 0.98 (GM 41.25% / 41.88%) |
| AQI: 1.17 (AQ_t 0.61 / AQ_t-1 0.52) |
| SGI: 1.23 (Revenue 1.25b / 1.01b) |
| TATA: 0.02 (NI 308.1m - CFO 258.9m) / TA 2.41b) |
| Beneish M = -2.89 (Cap -4..+1) = A |
As of July 22, 2026, the stock is trading at USD 332.16 with a total of 136,744 shares traded. Over the past week, the price has changed by +2.06%, over one month by -5.88%, over three months by +5.76% and over the past year by +72.34%.
Current recommended Stop Loss: 315.90 (which is 4.9% or 1.4 ATR below the current price).
ESCO Technologies has received a consensus analysts rating of 4.25. Therefore, it is recommended to buy ESE.
- StrongBuy: 2
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 385 | 15.9% |
P/E Trailing = 62.9486
P/E Forward = 25.3807
P/S = 6.6197
P/B = 5.2049
P/EG = 1.6685
Revenue TTM = 1.25b USD
EBIT TTM = 190.3m USD
EBITDA TTM = 290.9m USD
Long Term Debt = 125.0m USD (from longTermDebt, last quarter)
Short Term Debt = 27.8m USD (from shortTermDebt, last quarter)
Debt = 258.4m USD (from shortLongTermDebtTotal, last quarter) + Leases 45.7m
Net Debt = 166.1m USD (calculated: Debt 258.4m - CCE 92.3m)
Enterprise Value = 8.42b USD (8.25b + Debt 258.4m - CCE 92.3m)
Interest Coverage Ratio = 10.38 (Ebit TTM 190.3m / Interest Expense TTM 18.3m)
EV/FCF = 39.66x (Enterprise Value 8.42b / FCF TTM 212.3m)
FCF Yield = 2.52% (FCF TTM 212.3m / Enterprise Value 8.42b)
FCF Margin = 17.01% (FCF TTM 212.3m / Revenue TTM 1.25b)
Net Margin = 24.69% (Net Income TTM 308.1m / Revenue TTM 1.25b)
Gross Margin = 41.88% ((Revenue TTM 1.25b - Cost of Revenue TTM 725.4m) / Revenue TTM)
Gross Margin QoQ = 42.45% (prev 41.40%)
Tobins Q-Ratio = 3.50 (Enterprise Value 8.42b / Total Assets 2.41b)
Interest Expense / Debt = 7.09% (Interest Expense 18.3m / Debt 258.4m)
Taxrate = 23.33% (40.1m / 172.0m)
NOPAT = 145.9m (EBIT 190.3m * (1 - 23.33%))
Current Ratio = 1.45 (Total Current Assets 726.8m / Total Current Liabilities 500.4m)
Debt / Equity = 0.16 (Debt 258.4m / totalStockholderEquity, last quarter 1.59b)
Debt / EBITDA = 0.57 (Net Debt 166.1m / EBITDA 290.9m)
Debt / FCF = 0.78 (Net Debt 166.1m / FCF TTM 212.3m)
Total Stockholder Equity = 1.50b (last 4 quarters mean from totalStockholderEquity)
RoA = 14.60% (Net Income 308.1m / Total Assets 2.41b)
RoE = 20.50% (Net Income TTM 308.1m / Total Stockholder Equity 1.50b)
RoCE = 11.69% (EBIT 190.3m / Capital Employed (Equity 1.50b + L.T.Debt 125.0m))
RoIC = 7.80% (NOPAT 145.9m / Invested Capital 1.87b)
WACC = 8.91% (E(8.25b)/V(8.51b) * Re(9.02%) + D(258.4m)/V(8.51b) * Rd(7.09%) * (1-Tc(0.23)))
Discount Rate = 9.02% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 70.07 | Cagr: 0.11%
[DCF] Terminal Value 76.17% ; FCFF base≈177.4m ; Y1≈203.4m ; Y5≈299.3m
[DCF] Fair Price = 151.8 (EV 4.10b - Net Debt 166.1m = Equity 3.93b / Shares 25.9m; r=8.91% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 96.45 | EPS CAGR: 31.76% | SUE: 0.46 | # QB: 0
Revenue Correlation: 91.79 | Revenue CAGR: 9.97% | SUE: -0.22 | # QB: 0
EPS current Quarter (2026-06-30): EPS=2.12 | Chg30d=+1.06% | Revisions=-17% | Analysts=4
EPS current Year (2026-09-30): EPS=8.19 | Chg30d=+0.15% | Revisions=+50% | GrowthEPS=+35.8% | GrowthRev=+20.3%
EPS next Year (2027-09-30): EPS=9.09 | Chg30d=-0.87% | Revisions=+17% | GrowthEPS=+11.0% | GrowthRev=+17.6%
[Analyst] Revisions Ratio: +25% (up=6, down=3)